<p>
<strong>June 21, 2011 (AOI – TSXV, AOI - NASDAQ OMX) … Africa Oil
Corp. </strong>(“Africa Oil” or “the Company”) is
pleased to announce that it has completed the acquisition of all of the issued
and outstanding common shares of Lion Energy Corp. (LEO-TSXV;
“Lion”), a publicly traded oil and gas company listed on the TSX
Venture Exchange.  Pursuant to an acquisition agreement previously
announced April 3, 2011, Africa Oil acquired all of the issued and outstanding
shares of Lion in consideration of 0.2 Africa Oil shares for each common share
of Lion.  Under these terms, Africa Oil issued 17,462,447 common shares to
complete the acquisition.  In addition, outstanding options to acquire
common shares of Lion will be exchanged for options to acquire 287,250 Africa
Oil shares, issued pursuant to the terms of the Africa Oil stock option plan,
and outstanding warrants to acquire Lion shares have been amended to provide
for the issuance of 2,289,000 shares of Africa Oil upon exercise.  In each
case the exercise price and number of shares to be acquired has been adjusted
to account for the exchange ratio of 0.2 Africa Oil shares for 1 Lion
shares.</p>
<p>
The acquisition was approved by the Lion shareholders at a special
shareholders meeting held on June 8, 2011, with 99.96% of the votes cast being
voted in favour of the acquisition, and by the Supreme Court of British
Columbia on June 9, 2011.  Trading in the common shares of Lion will be
halted by the TSX Venture Exchange before markets open on Tuesday, June 21,
2011. </p>
<p>
Lion’s registered shareholders will be able to exchange their Lion
shares for common shares of Africa Oil by completing a Letter of Transmittal
and delivering it to Computershare Investor Services Inc.  Because of the
current postal disruption, the Letter of Transmittal, together with
instructions for completing and delivering the completed Letter of Transmittal,
are available on Africa Oil’s website <a
href="http://www.africaoilcorp.com/">www.africaoilcorp.com</a>. 
Lion’s registered shareholders are encouraged to download the Letter of
Transmittal, complete it and return it to Computershare as soon as possible to
avoid delays in receiving the Africa Oil common shares.</p>
<p>
Lion was a farm in partner with Africa Oil in Blocks 9 and 10BB in Kenya, and
in the production sharing contracts for the Dharoor Valley Exploration Area and
the Nugaal Valley Exploration Area in Puntland (Somalia).  As a result of
the completion of the acquisition of Lion, Africa Oil’s direct and
indirect interest in Blocks 9 and 10BB has increased to 100% and 50%
respectively, and it’s interest in each of the Puntland (Somalia)
production sharing contracts has increased to 60%.</p>
<p>
Keith Hill, Africa Oil’s President and Chief Executive Officer
commented, “The acquisition of Lion consolidates our interests in the
East African rift basins in Kenya and Puntland (Somalia). The cash portion of
the deal will further strengthen our balance sheet to allow us to fully fund
the upcoming aggressive exploration drilling campaign”.</p>
<p>
 </p>
<p>
Africa Oil Corp. is a Canadian oil and gas company with assets in Kenya,
Ethiopia and Puntland (Somalia). Africa Oil's East African holdings are in
within a world-class exploration play fairway with a total gross land package
in this prolific region in excess of 300,000 square kilometers. The East
African Rift Basin system is one of the last of the great rift basins to be
explored. New discoveries have been announced on all sides of Africa Oil's
virtually unexplored land position including the major Albert Graben oil
discovery in neighbouring Uganda. Similar to the Albert Graben play model,
Africa Oil's concessions have older wells, a legacy database, and host
numerous oil seeps indicating a proven petroleum system. Good quality existing
seismic show robust leads and prospects throughout Africa Oil's project
areas. The Company is listed on the TSX Venture Exchange and on First North at
NASDAQ OMX-Stockholm under the symbol "AOI".</p>
<p>
 </p>
<p>
FORWARD-LOOKING STATEMENTS</p>
<p>
Certain statements made and information contained herein constitute
"forward-looking information" (within the meaning of applicable
Canadian securities legislation). Such statements and information (together,
"forward looking statements") relate to future events or the
Company's future performance, business prospects or opportunities.
Forward-looking statements include, but are not limited to, statements with
respect to estimates of reserves and or resources, future production levels,
future capital expenditures and their allocation to exploration and development
activities, future drilling and other exploration and development activities,
ultimate recovery of reserves or resources and dates by which certain areas
will be explored, developed or reach expected operating capacity, that are
based on forecasts of future results, estimates of amounts not yet determinable
and assumptions of management.</p>
<p>
All statements other than statements of historical fact may be forward-looking
statements. Statements concerning proven and probable reserves and resource
estimates may also be deemed to constitute forward-looking statements and
reflect conclusions that are based on certain assumptions that the reserves and
resources can be economically exploited. Any statements that express or involve
discussions with respect to predictions, expectations, beliefs, plans,
projections, objectives, assumptions or future events or performance (often,
but not always, using words or phrases such as "seek",
"anticipate", "plan", "continue", "estimate",
"expect, "may", "will", "project",
"predict", "potential", "targeting", "intend",
"could", "might", "should", "believe" and
similar expressions) are not statements of historical fact and may be
"forward-looking statements". Forward-looking statements involve known
and unknown risks, uncertainties and other factors that may cause actual
results or events to differ materially from those anticipated in such
forward-looking statements. The Company believes that the expectations
reflected in those forward-looking statements are reasonable, but no assurance
can be given that these expectations will prove to be correct and such
forward-looking statements should not be unduly relied upon. The Company does
not intend, and does not assume any obligation, to update these forward-looking
statements, except as required by applicable laws. These forward-looking
statements involve risks and uncertainties relating to, among other things,
changes in oil prices, results of exploration and development activities,
uninsured risks, regulatory changes, defects in title, availability of
materials and equipment, timeliness of government or other regulatory
approvals, actual performance of facilities, availability of financing on
reasonable terms, availability of third party service providers, equipment and
processes relative to specifications and expectations and unanticipated
environmental impacts on operations. Actual results may differ materially from
those expressed or implied by such forward-looking statements.</p>
<p>
 </p>
<p>
ON BEHALF OF THE BOARD</p>
<p>
“Keith C. Hill”</p>
<p>
President and CEO</p>
<p>
 </p>
<p>
For further information, please contact:  Sophia Shane, Corporate
Development (604) 689-7842.</p>
<p>
Africa Oil's Certified Advisor on First North is E. Öhman J:or
Fondkommission AB.</p>
<p>
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.</p>
